Central Bank improves GDP forecast for 2022

The regulator, taking into account the uncertainties associated with the external economic situation, as well as the expected trends in the formation of aggregate demand and supply, revised its macroeconomic development forecasts for 2022.

Taking into account the current inflationary processes, the postponement of the increase in regulated prices along with the existing uncertainties and risks, the Central Bank forecasts inflation near the lower border of the corridor of 12-14%.

Based on the available reserves in the economy and the dynamics of aggregate demand, real GDP growth in 2022 is expected to be at the level of 5.0-5.5% per annum (the April forecast was 3.5-4.5%).

“Given today’s decision on the refinancing rate, future monetary conditions, together with the forecast for a decrease in inflation, will form positive interest rates in the economy and ensure the preservation of profitability on assets in the national currency,” the CB said in a statement.

Previously, it was reported that the Central Bank of Uzbekistan again lowered the refinancing rate. During the meeting, it was decided to reduce the main rate by 1 percentage point to the level of 15% per annum.